BRE Bank allowed to engage in potential merger talks

One of the leading banks, BRE Bank, has received permission from its strategic shareholder, German Commerzbank, to start negotiations over an eventual merger with another domestic bank. Commerzbank agreed to dilute its 50% stake in BRE if a merger goes ahead. BRE President Wojciech Kostrzewa said, "It all depends if we find a partner who we could merge with. I am open to any proposals," he said. There are rumors that Belgian bank KBC, the strategic investor in Kredyt Bank, is interested in purchasing shares in BRE. But the Belgians would prefer to takeover all the shares owned by Commerzbank. Herman Agneesens, a managing director in KBC denied these reports. However, he said that his bank is treating the Polish market very seriously, adding that their shares in Kredyt Bank are not enough as they are looking to secure a 10% stake in the Polish banking sector as a whole. (Parkiet, p. 1) A.D.